The outlook for Hormel Foods remains positive, according to two Wall Street analysts.
Last week Hormel raised its profit forecast for the year through margins will likely be under pressure due to a continuation of higher feed costs. Reuters reported that first-quarter net income for the company rose to $129.7 million, up from last year’s first quarter report. Read more here.
Meatingplace reports that two Wall Street analysts - Stephens Inc. analyst Farha Aslam and BMO Capital Markets analyst Kenneth Zaslow – share similar outlook for Hormel.
“Hormel's balance sheet remains very healthy, which should allow the company to fund future acquisitions, dividends and share repurchases,” Aslam wrote in a note to clients.
Zaslow shared Aslam’s positive outlook, calling Harmel’s results as “consistently strong,” even amid economic and commodity challenges.